Question

Calculator Cost of Production Report: Average Cost Method Use the average cost method with the following data: work in process, January 1, 3,400 units, 75% completed Materials added during January from Weaving Department, 64,000 units Direct labor for January Factory overhead for January Goods finished during January (includes goods in process, January 1), 63,500 units work in process, January 31, 3,900 units, 10% completed Prepare a cost of production report for the Cutting Department of Dalton Carpet Company for January 2016 using th equivalent unit answer to the nearest cent. $23,000 366,200 105,100 80,710 Dalton Carpet Company Cost of Production Report-Cutting Department For the Month Ended January 31, 2016 Unit Information Units charged to production: Inventory in process, January 1 Received from Weaving Department 3,400 64,000 Total unts accounted for by the Cutting Department67,400 Units to be assigned costs:

Answer 1

Answer:

Dalton Carpet Company 45 46 47 48 49 50 51 52 53 54 Cost of Production Report Cutting Department For the month ended January 31, 2016 Unit Information Units charged to production lt Inventory in process, January 1 Received from Weaving Department Total units accounted for by the Cutting Department Units to be assigned costs: Tranferred to finished goods in January Inventory in process, January 31 Total units to be assigned costs 3400 64000 67400 63500 3900 67400 63500 390 63890 56 Cost Information Cost per equivalent unit: Costs Total costs for January in Cutting Department ($23,000$366,200$105,100 $80,710) Total equivalent units Cost per equivalent unit $ Costs assigned to production Inventory in process, January 1 S Costs incurred in January ($366,200$105,100$80,710) Total costs accounted for by the Cutting Department $ Costs allocated to completed and partially completed units Transferred to finished goods in January S Inventory in process, January 31 (390x9) Total costs assigned by the Cutting Department $ 58 59 60 61 62 63 64 65 575010 63890 9 23000 552010 575010 67 68 69 70 571500 3510 575010

Working notes for the above answer is as under

45 46 47 Dalton Carpet Company Cost of Production Report Cutting Department For the month ended January 31, 2016 nformation 49 50 51 52 53 54 Units charged to production Inventory in process, January 1 Received from Weaving Department Total units accounted for by the Cutting Department Units to be assigned costs Tranferred to finished goods in January Inventory in process, January 31 Total units to be assigned costs 3400 64000 67400 (67400-3900)*100% |-(67400-3900)*100% 3900*100% +D54+D55 3900*1096 56 Cost Information Cost per equivalent unit: Costs Total costs for January in Cutting Department ($23,000$366,200 $105,100+$80,710) Total equivalent units Cost per equivalent unit $ Costs assigned to production Inventory in process, January 1 $ Costs incurred in January ($366,200 $105,100 $80,710) Total costs accounted for by the Cutting Department $ Costs allocated to completed and partially completed units Transferred to finished goods in January $ Inventory in process, January 31 (390x9) Total costs assigned by the Cutting Department $ 58 59 60 61 62 63 64 65 23000+366200+105100+8071 +E60/E61 23000 552010 +E64+E65 67 68 69 70 HE66-E69 390 9 +E68+E69